Bitcoin Cloud Mining in Malaysia

Cryptocurrency in Malaysia

If you’ve heard of bitcoin, you would be privy to its meteoric rise in value. If you could go back to 2010 and buy $1,000 worth, it would be worth an estimated $20 million right now.

I won’t be spending too much time explaining cryptocurrencies and Bitcoin here, an awesome guide has already been created by my friends Suraya from Ringgit Oh Ringgit and Aaron from Mr-Stingy.

Instead, I’d like to talk about something I’ve recently invested in – Cloud Mining! Also, we will not limit ourselves to only Bitcoin but other currencies out there as well.

Bitcoin Mining

So first thing’s first, what does mining these currencies entail?

From my understanding and to put it in layman’s terms…

Mining – like mining for gold. You do some work, and you hope to turn up something valuable. In this case, it’s bitcoins.

Mining computers and equipment everywhere in the world are taking in and recording Bitcoin transactions from around the world. They’re making sure that everybody has enough money to complete the transactions, and then they’re adding them to the list of all the bitcoin transactions that have ever happened.

Cloud Mining

The main difference between traditional mining and cloud mining lies in who houses and maintains the mining hardware.

With traditional mining, you buy, set up and maintain the mining rigs. This requires extensive technical knowledge as well as adequate ventilation for cooling and will result in an increase in electricity costs.

On the other hand, with cloud mining, the mining rigs are housed and maintained in a facility owned by the mining company. The customer simply needs to register an account and purchase mining contracts or shares.

These mining contracts immediately start mining your cryptocurrency which is paid out to the user on a regular basis. The user does not have to concern him/herself with ordering, setting up or maintaining the mining hardware. Nor is the user required to fork out a substantial sum as initial mining investment. For as little as USD50, he/she can begin cloud mining.

A warning to everyone, cryptocurrencies in and of itself are extremely volatile and risky. Cloud mining adds to that risk because you’re placing your money with a company and trusting them to continue mining for the foreseeable future. As always, invest at your own risk!

My Investment

Just today, I’ve started venturing into cloud mining to test the waters. After some tedious research, I’ve decided to go with Genesis Mining. Why? Because they are the largest in the world.

I guess I like having a sort of safety net by investing in the biggest.

Also, with Genesis, they have regular daily payouts and low maintenance fees.

From my research, I found mining alt coins like Dash (x11) to be more profitable. I intend to keep the currency and reinvest them into more raw MINING POWER! Eventually, exchanging them to all time reigning – Bitcoin. Why? Again, because they are the largest.

My Order – Use code promo code KT7r1S (3% off)Genesis Dash Pricing

Return on Investment (ROI)

I’m still waiting for the payout figures from Genesis. Updated figures will be published here for everyone that is interested.

I spent USD93.20 for that 15 MH/s of mining power. Initially, I wanted to go for the USD500 one for 100 MH/s but they’re limiting the amount to below USD100 per transaction.

Just a test run for now to familiarize myself with everything.

Risks

The main risk I’ve identified with Cloud Mining (as with everything else) is the price as well as the mining difficulty. It gets increasingly difficult to mine coins as the number of transactions goes up and more and more people get into mining.

My USD93.20 lasts for 2 years. At current rates, I expect a full ROI in a year (I’m being conservative). However, if the price of my coins drop below the threshold of which I’ll be able to make a profit, I’ll then be stuck with a 2-year mining contract making a loss.

Getting Started

Cloud Mining on Genesis

It was pretty straight forward for me, I headed over to Genesis, registered for an account. Proceeded to select my package and paid with my credit card.

If you’re using Genesis as well, please go ahead and key in the following code: KT7r1S which gives you a 3% discount on your purchase.

Storing my Coins

Because I’m mining alternative coins like Dash (x11) and Ethereum, I opted to store on a multi wallet. I use Exodus. Their UI is awesome by the way.

So after, transferring and storing my alt coins on Exodus, I’ll then move it to a more local (Malaysian friendly wallet) – Luno.

Enter my promo code: HFCCY. You can still enter the code after signing up. Inside your account as shown in the picture below. We will both benefit from this. It isn’t much, after buying RM250 or more on the site, we will both get RM5. It’s something.

Luno Promo Code – HFCCY

End.

I know this is a move away from my usual investments in shares. However, as it is an (very risky) investment nonetheless for me, I’ve decided to put up a post on it.

I’ll probably be spending about RM5 – RM10K if all goes well with my initial investment.

I’m prepared to lose this money at the time of writing.

A big thank you to Suraya from Ringgit Oh Ringgit for showing me the ropes and answering my newbie questions.

Related

Post navigation

24 thoughts on “Bitcoin Cloud Mining in Malaysia”

I’ve never really understood the allure behind cryptocurencies. Aren’t the chances of the investment flopping more likely than not? That meteoric rise in value really was a one time thing, no? Or does it repeat itself every once in a blue moon , which is what you’re waiting for so you can cash out with millions of ringgit in tow?

It is indeed a very good write up!
Thanks for the details!
Been planning to start my own hardware mining until I found out that mining GPUs are all sold out in the market where the next best alternative is to do Cloud Mining to get the ball rolling (don’t want to miss the boat even further!)

I did it for awhile, that was a few years ago where mining for LTC was a hit. Too bad I only persisted for a short period of less than a year. But anyhow I manage to gain back my capital 🙂 (enough to cover the investment spent on mining PC and electricity)
The reason why I stopped is because of time consuming to manage the mining rig and the heat generated is simply too much!
I’ve just started on cloud mining again, doing the same as you banking on DASH but maybe my investment is too tiny, not sure if I could gain anything at the end of the 2 years contract(used the leftover bit of my BTC which is just enough to start the minimum for DASH mining)
Anyhow, good luck!

Nice!! I’m trying out mining as well with my current PC. Just for the fun of it. Generating about USD1.35 per day. XD
At current price levels ie. USD170, my Dash mining is giving me a return of about 88% pa. (I know Dash is at USD186 now but I’m being conservative). Expected ROI is a year I guess if all goes well.

Glad to know those are good numbers! I’ll think about banking on new contracts too now after reading your “88% pa” (honestly i’m not so good with numbers, which is why i’m stalking your blog for 3 years now) 😀

It’s actually really more worth it to get GPU mining rigs to work on mining if you have the space and cool enough weather (How I wish I’m from those ice cold country now) which you don’t need to worry about cooling capacity.
ETH is really getting higher price from the day it started(wish I didn’t stop mining…) and so with the other ALTCoins. Let’s just hope and pray that these cryptocurrencies would stay “alive” and won’t degrade in value too much so we would gain some from them! All the best!

Agreed! It’ll be more worth it because the risks are higher as well. I’m particularly concerned with hardware malfunctions.
I’m actually trying out mining from a few old PCs at my workplace. XD
Getting about USD3 for a full day’s work there.

Thanks for using the code my man!
Yes I’ve spent the whole of the past few days link hopping and researching. What did u mine on Genesis btw?

1. Yes I’m using Luno too! My code for that is HFCCY btw. XD
2. I looked at Jaxx but opted to use Exodus.io instead. This is where I’ll store my Dash. They have a built in Shapeshift exchange, you might want to check them out. They don’t hold Monero tho.

Hope to hear from you soon! Thanks for all the sharing my friend. Good to meet a fellow enthusiast.

The difficulties rate increases exponentially. The longer you drag the lesser money you make. I’m a alt coins miner and from my experiences is better for you to invest in the machine rather than cloud. I give you an example, I was mining ethereum last year. A machine would generate about 32 coins on average per month but now it is less than 2 coins a month. This happened in less than 10 months. Luckily ethereum price when up 4000% hence it is justify even the coin I mine is much lesser.

Yea I’ve thought long and hard about the increase in mining difficulty. Although, as difficulty increase, so does the price as in your case. Just have to be wary of a crash.
When you say invest in the machine, how do you do that actually? Is there a reliable platform to do so? I’m hearing great things about the new Antminer D3.

I couldn’t get hold of the Antminer D3, that is a great investment IMHO. You need to purchase the machines then have it connected to the blockchain. Definitely you may need to have some technical background but is readily available on the internet. You can try get hold a machine and then test but I was told now no stock.